IMPACT OF INFLATION ON SELECT SECTORS OF NATIONAL STOCK EXCHANGE IN INDIA

One of the most important objectives of any country is to achieve high economic growth with low inflation. The relationship between inflation and economic growth has been a controversial issue among macroeconomists, policymakers, and monetary authorities in the last few decades.  Inflation and economic growth have one of the most mysterious relationships in economic theory. The appropriate level of inflation required for economic growth is hard to define. India is facing a fast rise in the general price level for the last couple of years. So, inflation is one such thing which is a major impact on the entire economy in some or another way. So, this study is carried out to know the relationship and effect of Inflation on the select sectors of the national stock exchange in India for the period 2012-2021 using statistical tools such as covariance analysis, and pair wise grangers causality and regression analysis has been used to derive the analysis.

Keywords: Inflation, Select sectors, National stock Exchange, Impact.